RFRV: BREAD/LBGT Kodiak Island

Proposer Details

The proposer should be affiliated with the protocol or at least one of the tokens in the contract.

For example if the contract is a $EXAMPLE / $BERA pool on XYZ DEX, the proposer should be affiliated with the protocol (XYZ DEX) or one of the tokens in the pool (in this case, $EXAMPLE).

  • Affiliation (protocol / one of the tokens in the contract): Both

Protocol Details

  • Protocol Name (Example: XYZ DEX): BakerDAO
  • Protocol Type (DEX/Lending/Staking/Derivatives/Other): Non liquidateable loans and leverage
    • If other: please specify
  • Protocol X profile link: https://x.com/BakerDAO420
  • Protocol docs link: https://documentation.bakerdao.io/
  • Protocol audits links (multiple links): Security | Baker DAO
  • Does the protocol have any relationship with current Berachain validators? Yes

Contract/Pool Details

  • Contract Name (Example: $EXAMPLE / $BERA): BREAD-LBGT island
  • Contract Address: 0x54c603173CA92A42B81f8838d705fd3E0f98D5D4
  • Contract Type / Configuration: Is it a standard AMM pool, a lending pool, a derivatives pool, a custom contract: Kodiak island
  • Describe how the contract works (e.g., how to mint and redeem shares of the contract, if tokens can be exchanged within the contract…): LP token can be minted/burned by providing/withdrawing liquidity into/from the island
  • Contract Fees: Outline the fee structure (e.g., 10% of staking rewards): Typical Kodiak island fees
  • Existing Liquidity / TVL: current liquidity and volume stats (if applicable):
  • Identify any address(es) controlling more than 10% of the contract shares
    (address / type: team, protocol-owned liquidity, etc.):
  • Is the contract upgradable? Yes
  • Contract Control: (Multisig/Single Owner/RBAC/Permissionless/Governance): Multisig
  • Additional details on Contract Control: Kodiak team
  • Is the contract verified? Yes
  • Can the contract be paused? Yes, dependent on alerts from Hyper Native security monitoring system and other risk control systems in place for asset management
  • Does the contract rely on oracles? No.
    • (If yes, explain oracle dependency)

Token Details

Provide the following details for each token in the contract (up to 5):

Token 1:

  • Name: BREAD
  • Symbol: BREAD
  • Contract Addresses (on Berachain and bridging addresses if cross-chain):
    chain / address: 0x0003eedfdd020bf60d10cf684abac7c4534b7ead
  • Tokenomics, Distribution, and Vesting (links to official docs, website, etc.): Baking and Burning | Baker DAO
  • Identify any address(es) controlling more than 10%
    (address / type: team, foundation, investor, etc.): liquidity pool, yield farm
  • Does the project issuing the token have any relationship with current Berachain validators? Yes
  • If yes, which one? Kodiak, P2P, Infrared, Berapaw, THJ, Berabaddies, Falcon Nest, ApDAO, Stakecito
  • Total Supply Cap (if any): N/A
  • Circulating Supply: 3,714,489
  • Token Type:
    (Governance, Utility, Memecoin, Stablecoin, LST, RWA, Other): Other
  • Provide extra details (e.g. Use case, Redemption mechanics, Peg stability): minted and burned on an up-only bonding curve
  • Are token contracts upgradable? No
  • Token Control: (Multisig/Single Owner/RBAC/Permissionless/Governance): Multi-sig
  • Additional details on Token Control
  • Is the token contract verified? Yes
  • Is the token a standard ERC20 or any functions have been customized? (e.g. transfer, balance, mint, burn…): ERC20 with custom functions
    (If custom, provide a link to an audit.): Security | Baker DAO
  • Can the token be paused? No

Token 2:

  • Name: LBGT
  • Symbol: LBGT
  • (if the name and symbol match one of the tokens already provided or a major token, skip the next steps)
  • Token Contract Addresses (on Berachain and bridging addresses if cross-chain):
    chain / address: 0xbaadcc2962417c01af99fb2b7c75706b9bd6babe
  • Tokenomics, Distribution, and Vesting (links to official docs, website, etc.):
  • Identify any address(es) controlling more than 10%
    (address / type: team, foundation, investor, etc.): No majority control
  • Does the project issuing the token have any relationship with current Berachain validators? Yes
  • Total Supply Cap (if any) and Circulating Supply: Infinite Total Supply Cap; Current circulating: 500k
  • Token Type: LST
    (Governance, Utility, Memecoin, Stablecoin, LST, Other)
  • If either token is a native stablecoin, LST, or governance token, provide extra details on Use case, Redemption mechanics, Peg stability: LBGT is backed to BGT 1:1 and can be redeemed for 1 BERA just as BGT.
  • Are token contracts upgradable? No
  • Token Control: (Multisig/Single Owner/RBAC/Permissionless/Governance): Multisig
  • Additional details on Token Control: Token Mint is controlled by BeraPawForge contract, which is controlled by BeraPaw’s multisig.
  • Is the token contract verified? Yes
  • Is the token a standard ERC20 or any functions have been customized? (e.g. transfer, balance, mint, burn…): Standard implementations with custom Mint and Burn functions that can only be called by BeraPawForge.
    (If custom, provide a link to an audit.): BeraPaw Docs
  • Can the token be paused? No

Token / Project Background / Incentive Token Whitelist

Only two tokens can be whitelisted for use as incentives in a Reward Vault. Indicate which tokens will be used and provide all relevant information below.

Required Data for Incentive Token:

Incentive token 1:

  • Contract Addresses (on Berachain and bridging addresses if cross-chain):
    chain / address: 0x0003eedfdd020bf60d10cf684abac7c4534b7ead
  • Tokenomics, Distribution, and Vesting (links to official docs, website, etc.): Baking and Burning | Baker DAO
  • Identify any address(es) controlling more than 10%
    (address / type: team, foundation, investor, etc.): liquidity pool, yield farm
  • Does the project issuing the token have any relationship with current Berachain validators? Yes
  • If yes, which one? Kodiak, P2P, Infrared, Berapaw, THJ, Berabaddies, Falcon Nest, ApDAO, Stakecito
  • Total Supply Cap (if any): N/A
  • Circulating Supply: 3,714,489
  • Token Type:
    (Governance, Utility, Memecoin, Stablecoin, LST, RWA, Other): Other
  • Provide extra details (e.g. Use case, Redemption mechanics, Peg stability): minted and burned on an up-only bonding curve
  • Are token contracts upgradable? No
  • Token Control: (Multisig/Single Owner/RBAC/Permissionless/Governance): Multi-sig
  • Additional details on Token Control
  • Is the token contract verified? Yes
  • Is the token a standard ERC20 or any functions have been customized? (e.g. transfer, balance, mint, burn…): ERC20 with custom functions
    (If custom, provide a link to an audit.): Security | Baker DAO
  • Can the token be paused? No

Incentive token 2:

  • Symbol: LBGT
  • (if the name and symbol match one of the tokens already provided or a major token, skip the next steps)
  • Token Contract Addresses (on Berachain and bridging addresses if cross-chain):
    chain / address: 0xbaadcc2962417c01af99fb2b7c75706b9bd6babe
  • Tokenomics, Distribution, and Vesting (links to official docs, website, etc.):
  • Identify any address(es) controlling more than 10%
    (address / type: team, foundation, investor, etc.): No majority control
  • Does the project issuing the token have any relationship with current Berachain validators? Yes
  • Total Supply Cap (if any) and Circulating Supply: Infinite Total Supply Cap; Current circulating: 500k
  • Token Type: LST
    (Governance, Utility, Memecoin, Stablecoin, LST, Other)
  • If either token is a native stablecoin, LST, or governance token, provide extra details on Use case, Redemption mechanics, Peg stability: LBGT is backed to BGT 1:1 and can be redeemed for 1 BERA just as BGT.

Additional Requirements:

  • Specify how many tokens per week you plan to allocate for incentives:
    • 15% of all BakerDao fees are committed for POL incentives (across all pools) - this will be one of the core pools alongside BREAD-OHM on Kodiak. Scales as BREAD is minted and liquidity grows
    • 9% of all LBGT minted are used for POL incentives (across all pools) - this will be one of the core pools alongside LBGT-WBERA on Beraswap. Scales as LBGT is minted and liquidity grows
    • Any LBGT incentives placed by Berapaw will be matched 1:1 by BakerDao up to at least 250 BREAD per week (based on existing treasury)
      • LBGT minting fees are 10%, and 90% of the fees from the BREAD-LBGT island will be used as bribes for this vault
  • Specify for how many weeks you plan to allocate incentives: 52
  • Outline how decisions about token incentives are made (DAO, multi-sig, etc.): multi-sig
  • Incentive Manager address for BREAD: 0xA9592B702e8BBF6485136E94EE84Af263Cc3a69b
  • Incentive Manager address for LBGT: 0xe105B981bC871c6591a666424FF2368097836469

Growth, Community & Ecosystem Impact

Why This Contract Matters:

  • How will this contract benefit Berachain?
    • This contract will increase BERA usage and reduce BGT burning for BERA because minting BREAD requires BERA to be locked up (BERA loans may be taken against this, but not the entire amount), and minting LBGT requires BGT to be assigned to Berapaw.
    • Kodiak’s auto-BGT mechanism will be used on this island, which will recycle trading fees into bribes, leading to increased bribe volume
    • Increased liquidity for BREAD and LBGT increases BakerDAO and Berapaw revenues, both of which are Berachain native protocols
  • Will it deepen liquidity for a major ecosystem token (e.g., BERA, core stable asset)? Yes, for both BREAD and LBGT
  • Does it enable important trading pairs that drive adoption or integrate with other Berachain projects? Yes, increased liquidity and bribing volume for both tokens creates more reliable oracle price feeds, which subsequently enables a plethora of DeFi integrations and use cases

Potential Volume / TVL:

  • Provide metrics or estimates on liquidity you expect to attract: 1.5-3m TVL
  • Highlight any known liquidity commitments. (If you or partners plan to seed the contract, provide proof of funds or a statement of intent.): No pre-commitments

Synergies with Other Protocols:

  • Will this contract feed into any yield aggregators, lending markets, or liquid staking derivatives on Berachain? Yes, this contract has synergies with Kodiak, Yeet, BakerDAO, and Berapaw

Marketing / Promotion:

  • Are there plans to co-market with another project to bootstrap liquidity? Yes, co-marketing will be undertaken by BakerDAO and Berapaw

Long-Term Vision:

  • How could this reward vault evolve over time? (E.g., eventually becoming a core liquidity pair or a major stable pool for the chain.): This vault can become a core liquidity pair over time, and exemplify the positive flywheel of recycling swap fees into bribes

Verification

Please post the following text with the provided X account:

2 Likes

Hi team, thanks for the proposal.
Could you help address the following concerns?

  • Pool liquidity is below minimum required threshold (Minimum of USD 100,000)
  • Number of token holders is below the minimum threshold (Minimum over 100 Holders)

Please note that the following feedback doesn’t represent the opinions of the BGT Foundation.
It is contextual feedback from the Bera ecosystem team with respect to publicly stated guidelines.

With the following changes implemented, this application should be a better candidate for a Reward Vault.

1 Like

Gluten Morgen,

A yield farm has just been deployed in order to incentivize further liquidity: Kodiak Finance

The pool currently has 50k TVL, and is expected to grow well over 100k and 100 LPs with the incentives provided. Previously, similar incentives were added for the BREAD-OHM farm and the pool TVL quickly surpassed $1m

Another relevant thing to note is the level of decentralization. <5% of teh pool is owned by the BakerDAO multisig, and both BREAD and LBGT have extremely broad ownership metrics with no dominant majority holders

Additionally, Auto-BGT bribing will be used from this island’s fees

Berastotle from Kodiak here - chiming in. Given the feedback received today and in light of the newly released guidelines: Kodiak, Yeet, and BeraPaw are co-incentivizing liquidity in BREAD-LBGT via a “sweetened island” prior to BGT whitelist, as we have done for many previous successful applications. Both BakerDAO / BREAD and BeraPaw / LBGT have proven to be great sinks for BERA and looking forward to providing this unique LP for our users.

Note that on Berascan, the Kodiak Farm will appear as a centralized owner, but we can confirm that no individual entity owns >40% in terms of beneficial ownership, and are committed to meeting the decentralization and scale guidelines.

bread = bera = good
lbgt = bgt = good
good good
need whitelist

Pool liquidity is now over 100k (~109k)

Number of LPs also exceeds 100 (>120)
Here is the island CA: 0x54c603173ca92a42b81f8838d705fd3e0f98d5d4

Confirming as of 9:20AM UTC, April 14. The island has > 125 unique holders and > $100k tvl, with decentralized ownership. TVL has massively grown over last 48 hrs with Kodiak, Berapaw, and YEET incentives.

Individual users can be confirmed here https://backend.kodiak.finance/vaults/0x54c603173ca92a42b81f8838d705fd3e0f98d5d4?allUsersPage=1